Mountain Province recovers 5,934K carats!
Mountain Province Diamonds announces its financial and operating results for the full year ended December 31, 2017. Accordingly, Earnings from mine operations of $52.1 million Canadian dollars. Total sales of $238 million in 2017, of which $68 million Canadian dollars was capitalized as pre-commercial production revenue and $170 million Canadian dollars is reported as sales in the statement of comprehensive income.
Average full-year realization of US$70 per carat or about $89 Canadian dollar equivalent per carat. Approximately 2,775K tonnes of ore treated through the process plant and 5,934K carats recovered, on a 100% basis, for an average recovered grade of 2.14 carats per tonne. This recovered grade is approximately 32% above the original budget for the year ended December 31, 2017.
Strong participation at the Company's tender sales, with participation rates increasing through 2017. An average of eleven bids per lot received in 2017, with individual tenders offering approximately 125 lots per sale and over 100 companies bidding each sale.
Mountain Province Interim President and CEO David Whittle commented, "2017 was a milestone year for Mountain Province as we transitioned from development into commercial production. Over the second half of 2017, which covers our first two full quarters of reported mine operating results, we saw an adjusted EBITDA figure of $56.6 million, underscoring the cash flow generating capabilities of the GK mine.
For 2018, production is expected to increase from 2017 to between 6.3 and 6.6 million carats recovered at an average grade of 2.02 to 2.12 carats per tonne. This has all been achieved with a commendable safety record at site, and I congratulate the entire De Beers operating team at the GK mine for what they've accomplished. The 2018 year has seen a strong start in rough diamond markets.
The first two sales of the year substantially exceeded expectations, and prices have firmed across all product categories since the second half of 2017. We look forward to a year of strengthening fundamentals in the diamond industry."
